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Hornby tiers


TVR1707822112

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Ford Motor Company had a sort of one. It was driven by sales, so if a certain model was desirable the Dealer had to sell so many models of say a start car like a bog standard Fiesta to get issued with the more desirable ones like an XR2 or XR3 to sell. I don't know if it has changed. I imagine a lot of businesses run that model, it stops in the case of a Dealer only selling the highly desirable models (with more profit) over the less profitable "cooking cars". Hornby's model is just crazy, but there again a lot of things Hornby does amazes me. I think the issue is Hornby/Triang was once a big company so has continued with all the bad habits a large company has (so many sales so minor issues not a problem), forgetting that as a small/medium company those methods are not applicable anymore.

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I don't know the answer to your question but what I do know is if a retailer sells other train manufacturers products, that is classed as competition ,so the lower down the supply chain they are.

 

 

I don`t think so. Most model shops sell more than one manufacturers products. I don`t know where you got your information from or who told you but it is NOT TRUE

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Hornby were quite clear about the tie ring criteria when I was introduced.


Tier 1 model shops that stock products from all the Hornby ranges eg Scalextric, Airfix. They get first dibs on new releases.


Tier 2 model shops that only stock Hornby railway items such as at preserved railways.


Tier 3 model shops that also manufacture goods in direct competition with Hornby eg Hattons - they get stock once all other orders have been fulfilled.

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If what you say is true SteveM6 , then Hornby have no idea how to run a business. When I ran a model shop [for 33 years] there was no " embargoes" on what stock you sold. It was an accepted that you sold all major brands, and everybody was happy. Telling a shop what they can or cannot sell is a recipe for disaster. The whole concept of tier systems is totally wrong, Corgi [ before they were taken over] tried a similar system, and guess what ----- It failed.

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Previously Hornby sold out of its new locos very quickly, so they can do what they like. We are now heading into a recession and Hornby locos are considerably more expensive, so it could be interesting for the next year to see if they stick by the tier system.

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Going back considerably before the Corgi Gold Star Stockists concept, I can remember Meccano Ltd. threatening my father in the mid-1950s with withdrawal of their products (Hornby 0, Hornby-Dublo and Meccano as well as Dinky Toys) when he expressed interest in stocking the new Corgi Toys range. Their bluff was successfully called.

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Previously Hornby sold out of its new locos very quickly, so they can do what they like. We are now heading into a recession and Hornby locos are considerably more expensive, so it could be interesting for the next year to see if they stick by the tier system.

 

 

I don`t believe this for a second. If they did that IF they would find out the hard way that people would vote with their feet. Healthy competition is good, but contrived monopolies are not. All manufacturers want to be the top dog, but realise they have to keep their standards up. Resorting to bully boy tactics helps no one and leaves a nasty taste.

You can`t beat going to a local model shop and seeing the product in the flesh.

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Going back considerably before the Corgi Gold Star Stockists concept, I can remember Meccano Ltd. threatening my father in the mid-1950s with withdrawal of their products (Hornby 0, Hornby-Dublo and Meccano as well as Dinky Toys) when he expressed interest in stocking the new Corgi Toys range. Their bluff was successfully called.

 

 

And look where it got them. They did not move with the times and ended up being taken over by Tri-ang[Rovex] Group.

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DBfan, you seem to question my précis of the tiering system - this is from the original communication:


This has led to the company changing its previous pre-order allocation system, with its retail network placed into a new three-tier system. Hornby’s Chief Operating Officer, Tim Mulhall, explained in a press release during May: “Tier 1 relates to those retailers that amongst other things maintain a clean and well laid-out store and who promote several, if not all of the Hornby Hobbies ranges, which includes Hornby Railways, Scalextric, Airfix, Humbrol and Corgi. These retailers invariably have an effective website and mail order service, but more importantly they would also be able to provide help and guidance to their customers.”

“Those who have been nominated to tier 2 tend to be the types of outlet that will also include heritage centres or museums. Those outlets designated tier 2 must also be able to offer help, support and advice for their customers and are willing to promote Hornby products. Tier 2 retailers will include those online retailers who are also prepared to offer help, support and guidance to their customers.”

“Moving onto tier 3. Amongst the retailers in this category will be those that may not have ‘bricks and mortar’ premises and more than likely trade mainly online with limited support. Such tier 3 designated retailers may also manufacture their own branded model railway items which might possibly conflict with those produced by Hornby Hobbies Ltd.”

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Reading the part press release posted by SteveM6 is interesting and disturbing at the same time. It reads as though Hornby want to be number one at any cost and will enforce "rules" to ensure that they will force shops to only stock their products. Not all shops want to stock all of the Hornby range, some shops sell a lot of model railway items and despite carrying a range of Scalextric, sell very little of it. Also why should a specialist plastic kit shop be penalised because it does not sell model railways or die-cast. Specialist shops are a must for the hobby and the knowledge of the owners is passed on to the customer. There is the danger of shops becoming a jack of all trades and master of none. We never stocked radio controlled items when we had a shop because we were not interested in that part of the hobby. When any body asked about r/c we referred them to the two SPECIALIST r/c shops in the area. The reverse also applied


A well run shop knows it`s business and concentrates on stocking which items sell the best. Bachmann who now have a large portfolio of brands do not operate a tier system and are doing quiet well thank you. The tier system is a marketing disaster and should be scrapped as soon as possible. I some how don`t think that Hornby came up with system but it was rather forced on them.

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I am certain I was a victim of the Tier system and another manufacturer's attempt to corner the market. This was when I pre-ordered both companies WW1 commemorative locomotives from a large well known model shop. The other manufacturer simply stopped supplying this shop because they were commissioning their own models. Thank fully I heard about this just in time to get one of the last another retailer had. However, following the usual Hornby delays I was eventually told that the shop had been given far fewer models than what they had ordered which is why I never received it.

As a result, my next four locos came from Oxford Rail, Heljan and Dapol. After all, on my layout a Dean Goods is just as suitable as a Collett 2251, a 47XX as good as a Hall and I wasn't too bothered about the type of GWR Railcar I was going to get next!

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The tier system only works if the demand for models exceeds those available. I notice Hattons are selling the new Evening Star along with everyone else. Given Hornby's market is to the mature market most people will already have one wand ill not always want to bin their existing one for the new design. Now the Hush Hush W1 is a different matter. I suppose the Hornby Dublo versions may be the same. To me the whole philosophy of preordering something you don't know how good it is, is wrong. I recently ordered the Fell loco, I had to return it because it doesn't work properly. It was a big disappointment and I doubt I will order any more models from that company just in case the next one is as bad. Then there was the Hush Hush, I gather the newer version is much better. Trouble is at the moment if you want a particular model you have to pre order it.

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At an exhibition yesterday there was a distinct lack of Hornby on display and talking to well established traders, their view let Hornby get on with it, why should I bother with them. One said he would have ordered at least 16 GWR HSTs but was told he was allocated ONE. Needless to say he didn`t bother. They are not the only company like this apparently as some of the leading continental manufacturers are playing the same game.

It is a shame it has come to this but I fear it will all end in tears.



 

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